Case Analysis Business Report: DeWaal Pharmaceuticals and BioHealth Labs Merger

Assessment Item 2 - Case Analysis Business Report
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Table of Contents
1. What conflicting values are at stake in the case? Identify and explain, using relevant
management theory and concepts. Contextualise your answer with reference to literature on
integration problems in mergers and acquisitions, with specific reference to people issues.....3
2. Critique the process that is being applied to work out the details of the integration,
particularly with regard to structure and top management staffing using relevant management
theory and concepts. Ground your answer in evidence regarding people and culture issues in
merger integration studies..........................................................................................................5
5. Evaluate the usefulness of the management and organisational theories and practices from
the subject that you have applied in analysing the case.............................................................8
References................................................................................................................................10
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1. What conflicting values are at stake in the case? Identify and explain, using relevant
management theory and concepts. Contextualise your answer with reference to
literature on integration problems in mergers and acquisitions, with specific reference
to people issues.
During the mergers and acquisition of DeWaal Pharmaceuticals and BioHealth Labs, there
are certain conflicting values have been recognised at the stake which is bringing together the
two different cultural values and formulating the group of top layers of management for the
new company. This is so because in case of merger and acquisition of both the companies the
leaders who are the top position so not want to leave their designation and continue with the
same post in the new company as well. It leads to creating cultural differences among both
the companies who belong to the different economies as well (Shettlewood, 2016).
Management theory and Concepts
Figure 1: Conceptual Model
Source: (Idris, et. al., 2015)
The above conceptual model reflects the management theory as well as concepts relating to
the cultural differences during mergers and acquisition. The above model shows the
relationship between corporate cultures integration and the performance of the acquiring
companies. The model suggests and recommends that the corporate cultural values impact a
lot on the performance of the acquiring company. This shows that the culture of both the
companies plays a vital role at the time of merger and acquisition (Idris, et. al., 2015).
In the context of the respective case scenario BioHealth Labs which is New York-based
company and on the other hand, DeWaal Pharmaceuticals which is European company have
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